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British Airways is a ‘2 out of 10’ airline, says its biggest shareholder

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British Airways is a ‘2 out of 10’ airline, said a senior airline executive in a Sunday Times interview yesterday.

The amusing thing is that the company behind the man behind the comment – Akbar Al Baker, CEO of Qatar Airways – owns 25% of BA’s parent company, IAG. It’s the parenting equivalent of telling your step-children they’re ugly.

I should say, before I go on, that I have met Akbar on a few occasions and like him. He is an interesting character though. Of all the titled people I know, he is the only one that I always feel expects to be called by their title (‘His Excellency’) and would be offended otherwise. I have also visited the Qatar Airways head office in Doha in the past.

You can read Akbar’s full rant on The Times website here (paywall). If you have American Express Business Platinum, register for your free digital subscription on the Amex website here.

The interview covered a range of topics, but I focus on just two areas here. The first is his opinion on British Airways, and the second is his opinion on premium economy seating.

To quote:

“I’m very direct,” he says. “I don’t care what people think. People need to hear frank opinions.”

Akbar Al Baker on British Airways

“BA management “lost focus”, he says. Instead of making it “an airline Britain and the British people would be proud of”, the leadership reduced it “to a low-cost carrier — a level I never expected BA to be”. He explains: “British Airways is the flag carrier of the UK. You remember the motto? ‘To fly, to serve’. That was not any more the motto of the company. It was only on a billboard.” When Qatar Airways decided to invest, “we wanted BA to get the glitter back. We wanted an airline that doesn’t sell food but serves food.”

How many marks out of ten would he give BA in recent years? “Two.”

Al Baker hasn’t given up hope of still being proud of his step-child. Financially, of course, IAG has always delivered a better return for the Qatari Government than Qatar Airways itself, but you can have money without pride.

We go on ….

He praises Cruz’s replacement, Sean Doyle, one of whose first moves was to bring back free food and drink in short-haul economy. “He’s a very good leader. He has my confidence … British Airways will come back to its old glory.”

Akbar Al Baker on premium economy

We recently covered a speech by Tim Clark, the CEO of Emirates, where he admitted that not introducing premium economy earlier had been an expensive mistake. Emirates was seeing strong demand and a big price premium on the routes that have it.

I already knew from speeches by Al Baker in the past (I was at the unveiling of their new economy seat in 2019 – see photo above of Al Baker, second right, with a footballer I believe) that he feels differently:

But one thing he will not be doing is hiring cabin crew to work in a new premium economy cabin — the class between economy and business that Emirates has introduced, joining BA and Virgin Atlantic. He thinks the 25 per cent extra that airlines charge for premium economy is a rip-off. “It’s the most uncomfortable seat. You can’t rest your feet on the floor. And they give you the same meal, the same bottle of wine, or whatever they give in economy.”

Al Baker believes that if you have the best economy seat on the market, you don’t need premium economy.

On this one, I don’t agree. This is partly because there is ample evidence from other airlines that premium economy can be hugely profitable.

It is also, to my mind, simple logic. You could offer me caviar for lunch and Bollinger on boarding, but it still won’t get me to squeeze my 6’2′ frame into an economy seat. It’s worth noting that Al Baker is a very slim man of average height.

You can read more on The Times website here if you can get around the paywall.

PS. Here is a fascinating fact from the article. As we have covered on Head for Points, the ‘blockade’ against Qatar by Saudia Arabia, the UAE and others has recently ended. This means that Qatar Airways aircraft can fly over Saudi airspace again, avoiding a lengthy detour. Al Baker believes that, in a normal flying year, this will save an astonishing $1.2 billion in costs, primarily fuel.


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Comments (100)

This article is closed to new comments. Feel free to ask your question in the HfP forums.

  • BA says:

    He is right. BA is noticeably worse than many of the Middle Eastern airlines, with BA apologists saying things like ‘you can’t compare BA to ME airlines’ for some reason. You can. You really can. And they have fallen so badly behind. Look at a regional Doha – Dubai flight in the highest available class: amazing lounge, checkin, service, and hard product. Compare this to LHR – CDG flight in BA business. 2/10 is generous

    • Andrew says:

      You really can’t compare BA to the ME ones (well you can but expectations should be set accordingly). Give BA an almost unlimited budget and tell them they don’t need to worry about breaking even and I’m sure they’ll do an awful lot better than 2/10. That’s the reason why BA, and just about all European and American airlines, have fallen so far behind.

      • blenz101 says:

        I don’t think it is unreasonable to compare BA with other carriers around the world, even the ME. We all know different markets have different cost bases but how these carriers choose to differentiate themselves is a choice.

        BA were happily posting billions in profit prior to the pandemic. They actively choose to attempt to compete on price with low cost carriers on short haul in Europe rather than invest in their product and service.

        A coffee in the morning with a bacon sandwich on a business trip or a few G&T’s at the start of a holiday did make them stand out. Had they gone further and invested in seat back entertainment and at a true business class cabin then nobody would be calling them 2/10 and they would have had a truly special product in the European short haul market.

        • Anuj says:

          They don’t compete on price though, the compete on costs. They’ve lowered their costs but their flights still cost substantially more than lcc’s

        • Andrew says:

          Don’t get me wrong, I’d love a short haul experience like that but there’s a reason no major European airline offers it. Short of a relatively small number of HFP’ers the market simply isn’t there to support it. Sure they could have made less profit during the good times and had a truly market leading product but, with hindsight, lowering your cost base and building up a war chest now seems like a genius move. No one would have predicted a global pandemic decimating the airline industry but a downturn of some sorts was always inevitable.

  • Tim W. says:

    I’m old enough to remember BA’s tagline “The World’s Favourite Airline”!

  • Chaz says:

    I don’t understand how it can be judged that PE is a waste. For which party?

    If a waste for the airlines, that would be evidenced by no one booking a premium seat for a premium price, or and an empty cabin. Alternatively it would be a waste if it reduced demand for businesses class / pressure on revenue there. I do not believe either to be the case.

    If a waste from the customer’s perspective, again no one would book. This isn’t a shiny new toy that people are trying out once – it has been around for decades and is popular. So it doesn’t seem a waste here either.

    Yes, an airline could upgrade all economy seats to a superior level – perhaps to BA premium level, but why stop there – why not just upgrade every seat to a six foot lie flat and have done with it?

    Bizarre logic.

  • Rivo says:

    Organisation’s travel policies have become tighter and tighter so the prospect of flying CE or CW is limited. God forbid you are flying on client funded travel, then the chances are zero.

    Having been forced to fly to JNB, SIN and HKG in economy due to frugal clients, I can tell you PE is very much a welcome relief.

    I would however agree that BA’s european product is no better than EZY

  • Erico1875 says:

    Having flew both Qatar’s business and Economy on several occasions, there is no denying their business class seat is good, however the service is souless,
    In Economy, not that Akbar Al Baker will have any real experience flying Economy, Seats are no better than BA, EZY or Ryanair even. Their staff are far mor pleasant than the false politeness of Qatars trolly dollys.
    Oh, and their customer service, off flight is appalling imo

  • Simon says:

    The interview is also notable for his answers to the “about you” questions. Normally business leaders talk about watching the TV show their PR has told them about, to make them sound like a normal person. His Excellency just flatly says he doesn’t have time to read, watch films, or listen to music, etc.

    • C says:

      At least he’s honest!

      • Rob says:

        Also worth noting that he doesn’t actually know his date of birth, because of the tribal upbringing he had.

    • ChrisC says:

      Better to say nothing that make something up and get caught out.

      Remember the Sarah Palin interview (paraphrasing) ?

      Interviewer – so which newspapers do you read?

      Plain – all of them

      Interviewer – any in particular?

      Palin – um er all of them

      Interviewer – can you name a few?

      Palin – um

  • ChrisW says:

    Premium Economy 25% more expensive than economy?!? LOL. On most airlines it is more like 100% more expensive.

    If it was 25% more expensive it would be worth the cost, at 100%, not so much.

    • Novice says:

      I agree I always find myself buying the business cash ticket because it’s closer to the price of PE on some airlines eg. A lot of the time, a BA PE might be around similar or more costly than Lufthansa Business or some other European Business. The only advantage I can see of using a costly PE is if you definitely have to take a direct flight otherwise if you have a job where you can work from anywhere or have a lot of time on your hands, it’s best to take connecting flights.

      • Rhys says:

        That’s more a consequence of direct vs stopover, though. You can get cheap ex-EU Club fares vs expensive direct Lufthansa premium economy, too. Any connecting flight has to be cheaper than direct alternatives.

    • Jonathan says:

      It probably refers to 25% of the base fare, means that are still unavoidable things the passenger has to pay for, APD being a the most notable one, and APD is charged at the higher rate for all seats Premium Economy and above for all flights, if the tickets were brought in the UK but the plane itself doesn’t come anywhere near where the tickets were brought!

    • Richie says:

      Some off peak PE fares can be excellent, I’ve done BA A380 WT+ very long sectors at only a marginal extra cost over Y per flying hour, when the J fares were prohibitively expensive.

    • riku says:

      I normally pay about 25% of the difference or less. If you are booking far in advance for leisure travel then perhaps the difference is more but about a month in advance the cheapest economy seats are gone but PE is around 25% extra, sometimes less and sometimes cheaper than economy. For work I normally pay the difference Y-> PE myself (I work for a company with a Y only travel policy). I include the extra on my tax return as work related travel and it’s tax deductable.

  • Catalan says:

    I wonder what His Excellency would say about 5 star Lufthansa now ‘selling food instead of serving food’?, let alone his other step child Iberia. It’s not as if BA are the only European airline doing so.

    • Blenz101 says:

      Or business class tickets that don’t provide lounge access…

      • Bagoly says:

        He may have got that idea from the Americans, where it is standard.

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